He described the previous arrangements as unsustainable, saying they encouraged corruption, fuel smuggling across borders and significant revenue leakages.
The All Progressives Congress (APC) on Saturday faulted the African Democratic Congress (ADC) for claiming that Nigeria’s poverty rate has surged to 63 per cent, accusing the opposition party of misrepresenting the findings of a recent policy report.
In a statement issued by the APC National Publicity Secretary, Felix Morka, the ruling party argued that the ADC’s comments reflected a misunderstanding of the economic reforms being implemented by President Bola Ahmed Tinubu.
The exchange followed a reaction by the ADC to a policy dialogue report released by Agora Policy, which indicated that the country’s poverty rate had climbed from 49 per cent to 63 per cent. The opposition party cited the report as evidence that economic conditions had deteriorated under the present administration.
However, the APC insisted that the same report also emphasised the importance of structural reforms to correct long-standing distortions in the nation’s economy.
The ruling party maintained that the policy changes introduced by the Tinubu administration were aimed at addressing deep fiscal and monetary imbalances.
Defending the government’s approach, Morka said the administration’s decision in May 2023 to remove fuel subsidy and harmonise foreign exchange rates was designed to tackle entrenched weaknesses in the economy.
He described the previous arrangements as unsustainable, saying they encouraged corruption, fuel smuggling across borders and significant revenue leakages.
According to him, the subsidy regime placed severe strain on government finances and at one stage consumed a sizeable share of national revenue.
Morka acknowledged that the reforms initially imposed hardship on many Nigerians but said such consequences are often unavoidable during major economic restructuring.
He added that the measures were intended to reposition the economy and pull the country out of prolonged stagnation.
The APC also took a swipe at the ADC, accusing the opposition party of failing to present a clear policy direction or credible alternative economic programme.
Morka said opposition leaders had chosen political attacks rather than proposing workable solutions to the country’s challenges.
He argued that Nigerians would not be convinced by criticism that lacked practical policy options.
To back its position, the ruling party pointed to several macroeconomic indicators which it said signalled gradual improvement.
According to the APC, the economy expanded by 4.4 per cent last year and is projected to grow by 5.5 per cent in the current fiscal year.
The party further said Nigeria’s foreign reserves have climbed to more than $50 billion, describing it as the highest level recorded in almost two decades.
It also noted that inflationary pressures are beginning to moderate, with headline inflation declining and food inflation at its lowest level in more than ten years.
The APC added that non-oil exports exceeded $6 billion in 2025, describing the trend as evidence of gradual diversification of export earnings.
It said higher revenue allocations are now reaching states and local governments, enabling them to undertake development projects and social programmes at the grassroots.
The party also highlighted several social protection initiatives introduced to cushion the impact of the reforms on citizens.
These include cash transfer schemes, student loan programmes and the ongoing roll-out of Compressed Natural Gas (CNG) initiatives aimed at lowering transport costs and expanding alternative energy options.
The APC said the interventions form part of broader efforts to strengthen household resilience while economic reforms continue.
It assured Nigerians that the Tinubu administration remains focused on rebuilding the economy and creating a sustainable foundation for long-term growth.